Occupancy and revenue fall at Phuket’s premium hotels

The segment in numbers

Key indicators for Phuket’s luxury and upscale hotels, year-on-year change

• ฿5,456 — RevPAR (revenue per available room): −8.7% YoY, ฿5,975 in H1 2025
• 80% — average hotel occupancy: −4.1 pp, 84.1% in H1 2025
• ฿6,820 — average daily rate (ADR) per night: −4% YoY
• 6.04 million guests in the half-year: −2.72% YoY, fewer than a year earlier

Source: Cushman & Wakefield Thailand, Nation Thailand, 28 July 2026

Demand and supply

Cushman & Wakefield links the weaker results to two parallel factors.

Demand ↓

• International tourist arrivals have been declining since April 2026
• Tension in the Middle East is affecting travellers’ decisions
• More expensive air tickets for long-haul markets — Europe, the US and other countries in the Americas
• The second quarter is the traditional low season after the peak of late 2025 – early 2026

Supply ↑

• A new upscale hotel with 280 rooms has opened
• Luxury and upscale room stock has reached 49,380 rooms (+0.57% vs H2 2025)
• Another ~3,440 rooms are under construction, to be delivered in phases in 2026–2028 — about 7% of current supply

Supply growth is outpacing the recovery in demand.

Geography and new construction

Phuket’s luxury and upscale room stock by area of the island:

• Centre and west — 58.4%: Surin, Kamala, Patong, Karon
• North of the island — 17.4%: most of the new supply
• South of the island — 15.1%

Under construction: ~3,440 rooms (2026–2028), about 7% of current supply, delivered in phases. Most of the future upscale supply is concentrated in the north of the island.

What’s next

Cushman & Wakefield expects a possible improvement in the second half of the year but points to risks:

• The recovery of demand from the Middle East, Europe and the US
• Limited airline capacity on long-haul routes
• Fuel price volatility affecting the cost of flights

Nation Thailand does not publish Cushman & Wakefield’s methodology, so the figures should be treated as a consultancy’s estimate rather than official market statistics.

Event date: 28 July 2026 · Published: 30 July 2026, Phuket analytics team · Source: Nation Thailand